View from Seed

MARCH 24, 2021

But mainly we did it because these corporate VCs were among the only groups willing to invest at PayPal’s somewhat inflated post-money valuation, during the middle of the dot-com crash when traditional VCs pulled back sharply and other sources of funding were constrained.” ” (Lee Hower). ” (David Beisel).

Seed Stage 177

Seed Stage Hiring IPO Analytics 177

Agile VC

APRIL 17, 2011

Post-money valuation probably no higher than $12M (2). Pre-money valuation was approx. Led by Oak Investment Partners with participation by General Catalyst, Sequoia, & Accel and others. Pre-money valuation was at least $250M (2). My partner @ LeeHower looks back: [link] 5 days ago Search.

Pre-Money Valuation 113

Pre-Money Valuation Liquidation Preference Dividend Common Stock 113

betashop.com

OCTOBER 8, 2012

It has been awesome, flattering, and humbling to see that post went viral and has been seen by so many thousands of people — mainly aspiring entrepreneurs — and has been translated into many languages. million registered users, 7500 supplier partners, 600 team members, and a run-rate of more than $150M in sales in just 15 months.

Technical Review 108

Technical Review Technology Software Review Valuation 108

Steve Blank

JULY 19, 2011

They really wanted to invest, but it was the beginning of the bubble, and I wanted (what was then) an absurd valuation. All we had were six slides, and I wanted a $10 million post-money valuation. We had gone back and forth with them on valuation, but this was a new firm and they wanted to close a deal with us.

Post-Money Valuation 255

Post-Money Valuation Venture Capital Valuation IPO 255

Both Sides of the Table

MAY 30, 2018

What was the post money on your last round (and how much capital have you raised)? It’s not uncommon for a VC to ask you how much capital you’ve raised and what the post-money valuation was on your last round. and “what was the post-money valuation of your last round?”

Valuation 324

Valuation Post-Money Valuation Pre-Money Valuation Cofounder 324

Pascal's View

JULY 9, 2017

This is a fundamental issue that does, indeed, boil down to understanding the post-money valuation of a company. At its core, this issue points to the lack of understanding about the importance of post-money valuation by both entrepreneurs and investors.

Post-Money Valuation 49

Post-Money Valuation Valuation Covenant Cap Table 49

Rob Go

AUGUST 29, 2016

Most term sheets talked about the valuation in these terms, and you added the dollars invested to get a post-money valuation. Founders also had to do a little math on the new option pool to really understand what their ownership would be post investment, since it was typically taken out of the company pre-money.

Post-Money Valuation 52

Post-Money Valuation Valuation Cap Table Term Sheet 52

Both Sides of the Table

NOVEMBER 4, 2009

Let’s assume that the company raised it at a normal VC valuation, which means it gave up 33% of the company and thus $5 million / 33% = $15 million post-money valuation. They raised $5 million in their B round.

Stock Options 418

Stock Options Stock Liquidation Preference Option Pool 418

Both Sides of the Table

AUGUST 1, 2010

Short summary of my posts: 1. Many (Union Square Ventures, Foundry Group, True Ventures, GRP Partners, Mike Hirshland at Polaris Ventures) do it the right way – we treat it as a normal investment and we don’t have a “options&# strategy with our investment. Knowing What the Seed Funding Policy of your VC is.

Post-Money Valuation 298

Post-Money Valuation Term Sheet Warrant Partner 298

Agile VC

DECEMBER 6, 2012

1) LP Bases Change Over Time – Most healthy VC firms tend to have stable relationships with the limited partners investing with them. Well at this juncture Startup X’s valuation is presumably a lot higher than it was at the Series A, maybe even 5-10x+ higher.

LP 178

LP Balance Sheet Differentiation Limited Partner 178

The Startup Lawyer

OCTOBER 9, 2010

Good luck trying to convince even the most nascent of startups to take your investment at around a $100k post-money valuation. One of the 2 partners plans to provide personal mentorship. Regardless of how well the partner can provide mentorship, it falls way short of the roster of mentors provided by typical accelerators.

Dallas 91

Dallas Seed Capital Incubator Post-Money Valuation 91

The Equity Kicker

APRIL 10, 2015

We’ve just been writing an update for investors about the progress our partner companies have been making. A few of them have done good up rounds and the easiest way to describe the magnitude is to talk about the valuation multiple.

Valuation 60

Valuation Pre-Money Valuation Post-Money Valuation Option Pool 60

View from Seed

JANUARY 11, 2017

But mainly we did it because these corporate VCs were among the only groups willing to invest at PayPal’s somewhat inflated post-money valuation, during the middle of the dot-com crash when traditional VCs pulled back sharply and other sources of funding were constrained. 4) Are these investment partners for the long haul?

Strategic Investors 120

Strategic Investors Post-Money Valuation Seed Stage Cofounder 120

Board Effect

MAY 10, 2019

There’s the owner—maybe a partner or two—but unless employees are offered equity from the get-go, there’s typically not a whole lot of dilution. Cap tables are throughout these negotiations to model potential pre- and post-money valuations. Why do cap tables matter?

Cap Table 40

Cap Table Liquidation Preference Dilution Liquidity Event 40

thestartuplawyer.com

FEBRUARY 24, 2010

Your Business Partner Closer,&# was a reformatted version of a blog post titled “Keep Your Startup Co-Founder Closer&# which appeared in Ryan Roberts PC’s blog for startups and entrepreneurs, The Startup [.] He obviously never launched a startup and got shafted by a co-founder.

Cofounder 40

Cofounder Founder Preferred Stock Startup 40

Seeing Both Sides

NOVEMBER 30, 2008

That's because the two key assumptions regarding how much money a portfolio company would require from start to finish (the exit) have changed: (1) the length of time before exit; and (2) the number of portfolio companies that would attract outside capital to lead follow-on financing rounds. Today, those financings are simply not happening.

Pre-Money Valuation 20

Pre-Money Valuation Portfolio Post-Money Valuation Valuation 20

Lightspeed Venture Partners

SEPTEMBER 23, 2012

post money valuation. Mark Cuban offered $300k for 33% of the company, implying a $900k post money valuation. implying a $600k post money valuation. The company ended up negotiating with Cuban and settled on $300k for 30% of the company, or a $1M post money valuation.

Pre-Money Valuation 164

Pre-Money Valuation Post-Money Valuation Valuation Dilution 164